Signa founder René Benko has received another substantial prison sentence. The Innsbruck Regional Court recently delivered its latest verdict. Consequently, Benko was convicted of fraudulent bankruptcy. He now faces 30 months of unconditional imprisonment.
The 49-year-old businessman maintained his innocence during the proceedings. This latest conviction adds to his growing legal challenges. He has been held in pretrial detention since early 2025.
Specifically, the reopened proceedings focused on an advance rent payment. This sum totaled approximately 360,000 euros. It was for a luxury villa located in Innsbruck’s Hungerburg district. The court found that this contract was concluded in late 2023. By then, the Signa Group was already facing severe financial difficulties. There was no objective necessity for the payment, according to the court.
Presiding Judge Norbert Hofer explained the decision. He stated the arrangement primarily aimed to secure housing for the Benko family. However, Benko “knowingly accepted that creditors would suffer harm.” Meanwhile, the defendant was acquitted of another charge. This charge involved harming creditors’ interests through prepaid operating costs.
This verdict is not yet final. It builds upon a previous trial from October 2025. At that time, Benko received a two-year prison sentence. That conviction was for an impermissible 300,000 euro gift to his mother. The Supreme Court (OGH) upheld this ruling last summer. However, the OGH overturned Benko’s acquittal regarding the villa’s advance rent, remanding the case to Innsbruck.
Therefore, the new conviction increases Benko’s total unconditional prison sentence. It now stands at 30 months, an increase of six months. The court acknowledged Benko’s previously clean record as a mitigating factor. Nevertheless, aggravating factors included the repeated nature of the offenses. Moreover, the extent of the damage exceeded the criminal liability threshold.
During the criminal proceedings, Benko broke his silence. He made a detailed personal statement for the first time. He asserted a firm belief in Signa’s restructuring success as late as the end of 2023. He further claimed to have invested another two to three million euros into the group then. Benko stated he would not have done so without conviction.
He also defended the lease terms, stating they were market-aligned. Furthermore, Benko criticized the Public Prosecutor’s Office for Economic Affairs and Corruption (WKStA). He accused them of relying on “allegations contrary to the case file.” He subsequently declined to answer any questions from the prosecution.
Public interest in the trial has noticeably declined. Approximately 80 journalists attended the first trial in fall 2025. By contrast, only about 20 media representatives were accredited for this latest hearing. This René Benko convicted verdict represents only one part of the extensive legal investigations. The Signa collapse remains one of Europe’s largest insolvency cases. Investigations against Benko and other former executives continue across several separate cases.
